Category: Economy

RBI Monetary Policy 5th April 2024: Key Highlights

The Reserve Bank of India (RBI) Governor Shaktikanta Das on Friday announced the first monetary policy of the financial year 2024-25. The two-day review meeting of the RBI’s Monetary Policy Committee (MPC), the rate-setting panel, commenced on April 3 and concluded today, April 5. The RBI decided to keep the key policy repo rate unchanged at 6.5% for the seventh consecutive time. The six-member MPC headed by Governor Das also decided to maintain the policy stance at ‘withdrawal of accommodation’.

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RBI’s Bi-Monthly Monetary Policy Dt. 8th February 2024 – Key Highlights

The Reserve Bank of India (RBI) Monetary Policy Committee (MPC) has kept repo rates unchanged at 6.5 percent. It has also decided to remain focused on the withdrawal of the accommodative stance, Governor Shaktikanta Das said. This is the sixth consecutive unchanged decision and comes after the Interim Budget was announced on February 1, 2024.

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Interim Budget 2024 – Key Highlights and Impact on various sector

India’s Finance Minister Nirmala Sitharaman presented the much-anticipated Interim Budget, outlining the government’s spending plans. Overall Focus of the Budget :
• Meeting the needs and aspirations of the poor, women, youth, and farmers
• Making India a “Viksit Bharat” (Developed India) by 2047
• Focusing on “sabka sath, sabka vikas” (inclusive development)
• Prioritising “GDP” – Governance, Development, and Performance
• All-round, all-pervasive, and all-inclusive approach to development

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Finance Ministry releases “The Indian Economy: A Review – January 2024” instead of ‘Economic Survey 2023-24’ ahead of Interim Budget 2024-25

Every year, a day before the presentation of the budget document, the central government presents an Economic Survey. However, a survey will not be presented on January 31, the budget being of an interim nature and in light of the upcoming elections. A complete budget and the Economic Survey will be presented in July, when the results are declared and a new cabinet is appointed. Chief Economic Adviser V Anantha Nageswaran outlines India’s potential to reach a $7 trillion economy by 2030 in the recently released mini-annual Economic Survey titled ‘The Indian Economy: A Review,’ .

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Union Budget 2023-24 – Key Highlights, Budget Allocation & Impact on various Sectors

The Union Minister of Finance and Corporate Affairs Smt. Nirmala Sitharaman presented the Union Budget 2023-24 in Parliament on 1st February 2023. The Budget has a vision for Amritkaal and has seven Priorities known as Saptrishi 7.

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Statement on Developmental and Regulatory Policies

The Statement sets out various developmental and regulatory policy measures relating to (i) Regulation and Supervision; (ii) Payment and Settlement Systems; and (iii) Financial Markets.

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RBI Bi-Monthly Monetary Policy 5th August 2022 – Highlights & Key Takeaways

The Reserve Bank of India on Friday hiked the repo rate by 50 bps, taking the key policy rate back to the pre-pandemic level of 5.4 per cent. Today’s hike was the third such in a row, with which the cumulative rate hike since May is now 140 bps. The central bank’s MPC (Monetary Policy Committee) said that it remains focused on “withdrawal of accommodation” to combat the elevated inflationary pressures while also supporting growth.
“These decisions are in consonance with the objective of achieving the medium term target for consumer price index (CPI) inflation of 4 per cent within a band of +/- 2 per cent, while supporting growth,” Governor Shaktikanta Das said.
Sustained high inflation could de-stabilise inflation expectations and harm growth in the medium term, he added.

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RBI’s Financial Stability Report, June 2022

Reserve Bank released the 25th issue of the Financial Stability Report (FSR), which reflects the collective assessment of the Sub-Committee of the Financial Stability and Development Council (FSDC) on risks to financial stability and the resilience of the financial system..

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Why Is Rupee Falling against Dollar and What Is The Way Ahead? Where will the Rupee end up? Rupee likely to hit 81 against dollar by FY23-end.

The Indian rupee has plummeted to fresh all-time lows over the last several days as emerging market assets are battered by a global risk-off, which has triggered a flight to safe-haven assets. Meanwhile, foreign money continues to leave Indian assets even as the trade deficit worsens. The rupee’s fall these days, experts say, is primarily because of high crude oil prices, a strong dollar overseas, and foreign capital outflows.
Yet, the rupee has performed better, compared with several of its Asian peers and the Reserve Bank of India (RBI) is committed and well prepared to contain the volatility in the exchange rate.
In summary, the backdrop of heated inflation, Covid crisis, monetary tightening by key central banks, and supply chain disruptions sparked by the Russia-Ukraine war have slowed down global economic activity, leading to the rupee’s massive drop against the dollar.

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Finance Minister Smt. Nirmala Sitharaman launches EASE 5.0 ‘Common reforms agenda’ for PSBs

EASE 5.0 ‘Common reforms agenda’ of EASENext program has been developed for Public Sector Banks and was launched through video-conferencing by the Minister of Finance and Corporate Affairs, Nirmala Sitharaman in New Delhi on Wednesday.

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